An entity’s first IFRS FS must:
- be transparent for users and comparable over all periods presented
- provide a suitable starting point for IFRS accounting
- be generated at a cost that does not exceed the benefits
DipIFR syllabus
First-time adoption of IFRS 5 / 5
An entity’s first IFRS FS must:
- be transparent for users and comparable over all periods presented
- provide a suitable starting point for IFRS accounting
- be generated at a cost that does not exceed the benefits
An opening IFRS based SFP
(using the same accounting policies as the future IFRS based FS) is needed at the date of moving to IFRSs.
This is the suitable starting point.
An opening IFRS based SFP
(using the same accounting policies as the future IFRS based FS) is needed at the date of moving to IFRSs.
This is the suitable starting point.
The opening IFRS based SFP shall...
1) recognise all assets and liabilities (where IFRSs say they should be recognised)
2) not recognise assets or liabilities (where IFRSs say they should not be recognised)
3) reclassify items (that IFRS say needs reclassification)
4) apply IFRSs in measuring all recognised assets and liabilities
The opening IFRS based SFP shall...
1) recognise all assets and liabilities (where IFRSs say they should be recognised)
2) not recognise assets or liabilities (where IFRSs say they should not be recognised)
3) reclassify items (that IFRS say needs reclassification)
4) apply IFRSs in measuring all recognised assets and liabilities